Overview
Claflin doctrine, deviation, trustee removal, merger. This module covers 6 of The Law of Trusts casebook, with real case holdings, key principles, and practical problems.
Educational content from the casebook "The Law of Trusts" — rebranded under AKASHIC INTELLIGENCE / LOVELOVINGLIFE. This is legal education, not legal advice. Trust law varies by state. Always consult a qualified estate-planning attorney.
Key Cases (4)
Estate of Bonardi
871 A.2d 103 · Issue: Termination by consent — material purpose
Holding: A trust cannot be terminated by consent of beneficiaries if a material purpose remains. Diverting remainder to the income beneficiary defeats the testator's expressed intent.
Estate of Brown
528 A.2d 752 · Issue: Claflin doctrine — material purpose
Holding: A trust may not be terminated, even with all beneficiaries' consent, if a material purpose remains. The settlor's intent to assure lifelong income through trustee management is a continuing material purpose.
In re Trust of Riddle
157 P.3d 888 · Issue: Equitable deviation — special needs trust
Holding: Courts may modify a trust under equitable deviation when unanticipated circumstances (disability) frustrate the settlor's intent. A special needs trust can be created to preserve government benefits.
Baird Trust
204 P.3d 703 · Issue: Trustee removal
Holding: A trustee may be removed for breach, insolvency, unfitness, hostility among co-trustees, failure to act, or other good cause. The matter is largely left to the trial court's discretion.
Practice Problems (2)
Termination — Material Purpose
Scenario: All beneficiaries consent to terminate a trust that was created to provide support for life. Can they?
Analysis: No — a support trust's material purpose (providing lifelong support) is not accomplished. The Claflin doctrine bars termination even with unanimous consent.
Equitable Deviation — Special Needs
Scenario: A trust beneficiary develops severe mental illness. Can the trust be modified into a special needs trust?
Analysis: Yes — under equitable deviation, unanticipated circumstances (disability) frustrate the settlor's intent. Creating a special needs trust furthers the purpose of providing for the beneficiary.
Deep Dive
Read the full chapter in The Law of Trusts, Made Plain